China has been on a wind power binge in recent years and now leads the world by installing one-third of new wind generators. However, the Chinese are installing smaller, less productive turbines in less favorable locations, and are not building out the necessary electricity grid infrastructure to handle the increased power production. This has resulted in smaller amounts of electricity being produced than would be expected in Western countries where profitability demands that new wind installations be properly planned and installed.

The leaders of the United States, Canada and Mexico jointly pledged that by 2025 half of their overall electricity generation will come from renewable power sources.

Navigant Research forecasts that plug-in electric vehicle (PEV) sales in the US and Canada in 2016 will near 200,000 unit sales, growing by around 62% year-over-year. Navigant further expects significant growth in the North American PEV market over the next few years: 60% during 2017 and nearly double in 2018, thanks to the introduction of battery-powered vehicles with 200+ miles of range for under $40,000.

Led by Tesla, China’s BYD, and Volkswagen, the battery market for plug-in vehicles will rise to $10 billion in 2020, with electric vehicles emerging as the drivetrain of choice, according to a new forecast by Lux Research. Volkswagen will show the most growth as it focuses on plug-ins following its emissions scandal.

Canada’s oil sands production will grow by 42% to 3.4 million barrels per day by 2025, most of which will come from the expansion of existing facilities rather than new projects, reports IHS Energy.

China’s oil production in May dropped by 7.4% year over year as low world crude oil prices have forced the closure of older oil fields that were still producing unprofitable oil.  To make up for its declining production, China continues to import increasing quantities of crude from Russia, which is a highly stable partner as compared with dealing with other exporters such as Venezuela, Nigeria, and the Middle East. The new series of deals allows Russia to maintain its revenues in the face of continuing sanctions for the Ukrainian situation.

Offshore the South American country of Guyana, Exxon Mobil’s crude oil discovery may hold as much as 1.4 billion barrels, making it potentially worth about $70 billion based on current prices. The Liza field 120 miles off the coast of Guyana is a “world-class discovery” that probably will yield the equivalent of 800 million to 1.4 billion barrels of crude.

The newly expanded Panama Canal will be able to accommodate 90% of the world’s current liquefied natural gas (LNG) tankers with carrying capacity up to 3.9 billion cubic feet. The recent canal expansion has significant implications for the global LNG trade.

Azerbaijan is positioned to become one of Central Asia’s key players in natural gas production. The US Energy Information Association says the country’s natural gas reserves exceed 30 trillion cubic feet and most of that is in the Shah Deniz field.

A Russian natural gas pipeline into Turkey would enable Russia to become a major supplier to the Turks by dropping off in Turkey some 16 billion cubic meters per year of the pipeline’s projected capacity of 63 billion cubic meters of gas.  This project could undercut Iranian efforts to get natural gas pipelines into Turkey and Europe.

 

 

h/t Tom Whipple

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